This article summarizes key points from our exclusive video coverage of the Buena Makubwa Oil Refinery development.
For comprehensive insights and detailed interviews, watch the full video report below.
In a significant move to reshape Southern Africa's energy infrastructure, Zambia is advancing plans for the Buena Makubwa Oil Refinery and Industrial Park. This transformative project promises to triple the nation's crude oil processing capacity and create thousands of jobs in the copper-rich nation.
The project formalized through a memorandum of understanding with Phoenix Materials Limited this February, encompasses a state-of-the-art refinery capable of processing 5 million metric tons of crude oil annually alongside an ambitious 1,800-kilometer pipeline connecting to Tanzania's port of Dar es Salaam.
"We love this project because it fits very well with our core philosophy," says Charles Kamwi, Group Manager at Maysen & Borroowski. "It's got a huge impact on employment, with 13,000 to 18,000 jobs during construction and 5,000 to 6,000 permanent positions over the project's 20-to-30-year lifespan."
The development extends far beyond traditional refining operations. Plans include a comprehensive industrial park featuring a dry port, container depot, skills training center, and approximately 5,000 residential units. The project addresses Zambia's persistent challenge as a landlocked nation by establishing a crucial logistics hub connected to East African shipping routes.
The refinery's strategic location adjacent to the existing Indeni facility in Ndola positions it to serve domestic needs and emerging markets in the Democratic Republic of Congo and Tanzania. Project leaders estimate the development will inject $600 million annually into the Zambian economy.
"When you consider the corporate capacity of the new oil refinery, being 5 million metric tons per year, it brings huge economic benefits," explains Mr. Phesto Musonda, Chairman of the Sub-Sahara Gemstone Industrial Park. "Not only as a refinery but because of the demand for increased capacity of crude oil being pumped, it will create an opportunity and make the expansion of the current Tazama pipeline capacity feasible."
One of the project's most promising aspects is its potential to jumpstart Zambia's manufacturing sector by making petrochemical byproducts available. The country imports most of these materials at premium prices, hampering industrial development.
"Zambia imports almost all of the byproducts of crude," notes Musonda. "The petrochemicals resulting from this new oil refinery will be converted into thousands of industrial and consumer products, including plastics, paints, rubber, fertilizers, detergents, and textiles."
The project is critical, as regional oil demand is projected to reach 19.8 million tonnes annually by 2031. With the new refinery operating at maximum capacity, Zambia could position itself as a key supplier in a market currently dominated by South African imports.
The development significantly focuses on human capital development through its integrated training facilities. "The incubation center aims to increase the human capital within the Copperbelt province by providing the necessary skills training for workers," states Kamwi. "This is critical in ensuring that local expertise is developed to reduce the dependency on expensive expertise from outside the country."
GS International, a major South Korean corporation, has emerged as a key partner in the project following earlier discussions with Samsung. The company brings significant technical expertise, having completed major petrochemical projects across Asia, the Middle East, and North Africa.
For Zambia, a nation grappling with infrastructure challenges and seeking economic diversification beyond its traditional copper mining sector, the Buena Makubwa project represents more than just industrial development—it's a bid to establish itself as a regional energy hub while creating the foundation for broader manufacturing growth.
"We believe that sooner or later, there might be oil discovered in Zambia," says Musonda. "And the idea of having a new oil refinery is a plus for Zambia in that we'll have been ready to be able to process our own oil that will be mined in Zambia."
Watch our full video report for in-depth interviews with key stakeholders and detailed coverage of this transformative project.
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